Wire · regulatory
Canada Stablecoin Rules Propose 1% Redemption Fee Cap
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Fusion42 · 27 October 2026 · Fusion42 review
Canada has opened a 60-day consultation on draft stablecoin regulations proposing a 1% cap on redemption fees, requiring full reserve backing, and banning interest payments on stablecoin holdings. The Bank of Canada would supervise issuers, with regulations intended to take effect in fall 2027, aligning closely with U.S. stablecoin rules.
This Wire brief sits within Fusion42's coverage of Fintech, and 3 sources have reported it.
◆ ◆ The Wire takeaway
Canada is setting a clear regulatory path for stablecoin issuers and capping fees that could open market access while restricting yield programs. You need to revise how you price stablecoin redemptions and handle yields if you plan to operate cross-border with Canada and the U.S.
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3 sources · 26 Oct 2026
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